ECONOMIC IMPORTANCE OF MULBERRY SERICULTURE BASED FARMING SYSTEM

199 CHAPTER - VII ECONOMIC IMPORTANCE OF MULBERRY SERICULTURE BASED FARMING SYSTEM Agriculture in India is the single largest employer of rural labour. Agriculture remains the main source of income and livelihood for the rural population in India. With the advent of many technologies in agriculture be it by variety, soil and nutrient management, important resources management like irrigation water, labour etc., the sector is widening itself to gamut of different economic activities. For a successful farm business, it is inevitable for an appropriate decision making by the farm entrepreneur. Decision making in agriculture has been a priority issue as the farmers live in an environment under scarce resource conditions. In order to accelerate the rate of agricultural development, three major changes viz, institutional, technological and the infrastructural changes are essential. While the institutional change refers to those measures which are related to agrarian relations (which make property relations favorable to the tillers of the soil) and size of the unit of cultivation which make the size of the unit of cultivation operationally viable, technological change implies a change in the method of farming and introducing yield raising technology. 1 Stout and Rutton 2 also defined technological change as a change in the parameters of a production function resulting directly from the use of new knowledge. Infrastructural changes include facilities like irrigation, credit, transport, marketing etc. In the last few decades, India has witnessed significant technological change in the agricultural sector. Technological change ensures avenue for the use and adoption of new and improved factors, techniques, methods and know-how for more agricultural production in place of old and traditional techniques of production. Introduction of new technology in the farm or the technological change include the use of high yielding varieties of seed or plant material, chemical fertilizers, improved method of irrigation, mechanization of the farm etc, in place of the traditional practices. 1 2 Singh, Diwa Kumari (1993) Technological Change and Agricultural Development, Deep & Deep Publications, F-159, Rajouri Garden, New Delhi 110027 Stout, T. T. and U.W. Rutton (1958) Regional Pattern of Technological Change in American Agriculture, Journal of Farm Economics, Vol. 11, No.2 pp. 196-209

200 According to Pause and Singh 3 technological change in agriculture consists of adoption of farming techniques developed through research and calculated to bring about diversification and increase of production and greater economic returns to the farmers. In view of the above, it can be said that the technological change in agriculture necessarily is a process assisting the shift in production function. Changes pertaining to farm technology may also be distinguished with increased farm mechanization and technical knowledge, besides the adoption of improved package of practices. Of late machineries in farming have taken a lead role in reducing the cost burden in the farm. The use of new technology warrants new knowledge among the farmers. Agriculture technology dissemination is a dynamic process, wherein it can be transferred to any differentiated group in the society. New farm technology tends to decrease the unit cost of production without decreasing the output. New mechanical-biological technologies such as improved machines, seeds, fertilizers and pesticides, etc, have resulted in enhanced production without increasing total inputs and have helped in improving input-output relationship. By virtue of improving input output relationships, new technology tends to reduce the cost of production and hence effects the level of agricultural prices. Technology therefore plays a vital role in the form of increasing production as well as reducing cost and ultimately lowering the price per unit. In the recent years, farm technology has played a more significant role in enhancing the global food production and to cater to the growing food requirements, owing to demographic explosion. In the absence of rapid technological advances in agriculture, the world must have been facing gloomy prospects and even now the high rates of population growth in the less developed countries. The major changes that are noticed with the evolution and adoption of new technologies in the farm in a way has given rise to diversification in farming. Resources of production will come under extreme pressure for consumption as a result of growing demand from the farm sector. 3 Pause, V. G. and Singh, D (1966) Promotion and Assessment of Technological Changes in American Agriculture, Indian Journal of Agricultural Economics, Vol. 21 (1), p.121

201 Under the conventional farming system which mainly focuses on the growing of traditional crops for sustenance will no longer benefit the mass of rural population because of lack of market price. With the predominant small size holdings, in India, traditional agriculture has limited role to play in eradicating poverty and hunger. Possibility of increased size of holding being less, diversification in the farming sector to high value crops and enterprises may hasten farmers income and livelihood. In this regard integrating activities which can effectively utilize the available resources at the farm level would be beneficial. 7.1 Farming System Definition and Concept Farming system is an integrated set of activities that farmers perform in their farms under their resources and circumstances to maximize the productivity and net farm income on a sustainable basis. 4 The main characteristics of the farming system specifically involve the following four basic elements: i) the farm family resources land, labour and capital ii) household consumption needs food, clothing, social obligations and other needs iii) farm enterprises crops, livestock, and off-farm activities and iv) the environment physical and socio-economic The decision making of the farmers at their farm is determined exclusively by the elements as listed above. Hence, justification to optimally utilize these elements is necessary and integrating many of the activities with in a farm arises. The integration of various activities within a farm therefore gives scope for the optimal utilization of the existing scarce resources in the farm. Integrated farming is most commonly found in many parts of Asian countries, which are having a large chunk of small farmers in the agriculture sector. The farming system takes into account the components of soil, water, crops, live stock, labour, capital, energy and other resources with the farm family at the centre, managing agricultural and other related activities in the same farm. 4 Nagaraja, G.N., Komala C.N, Nanjundegowda, G.and Muthappa, P.P. (2002) Optimum Dairy based Farming System Models for Stable Income of Small Farms, Discussion Paper, University of Agricultural Sciences, Bangalore, India.

202 An intensive integrated farming system addresses two issues, viz.: i) Reduction in risk with the monoculture activities and promoting enterprise diversification and value addition. ii) Development of alternative income sources with efficient utilization of farm resources. The socio economic values associated with the integrated farming system combining agricultural crops, horticultural crops, sericulture, forestry, fishery, dairy etc., can be effected through: Income generation through sale proceeds of various products of the farm Food security - after sale proceeds are over some proportion of the food items can be put aside for home consumption Capital formation savings after consumption can in turn be the net investment in production enhancing crop production through the utilization of various by products from complementary enterprises Resource utilization through optimal allocation of scarce resources of the farm in more effective and efficient way. Resource mobilization availing credits through formal and informal sectors becomes easy. Social and economic status through recognition in the society as a leader of the mass. Various explanations and definitions were framed to define the farming system in a nutshell by many economists around the globe, some of which are as under; Wright 5 considered farming system as bio-economic system. In this system man is attempting to control biological systems in an uncertain environment to achieve some goal which is predominantly economic in nature. 5 Wright, A., (1971) System Ananlysis in Agricultural Management, Willey and Sons, Australia, p.32-99

203 Charreau 6 opined that changes in farming system are continuously taking place because of the dynamic nature of agriculture, changes in population density, activities of man and many other reasons like changes in education, goals, income, credit institutions, availability of inputs etc. Tejwani 7 indicated that the farming systems research are comprehensive in nature and deals with the entire gamut of resources, inputs and management practices and operations in production of crops. Norman 8 felt that in order to develop relevant technology, it was important to understand and analyse the existing farming systems. In his opinion, failure to recognize the interdependence between the present farming systems, the proposed improved technology and the necessary infrastructural support has often been responsible for the lack of change in indigenous farming systems. Deoghare et al., 9 defined farming systems as the entire gamut of all farm activities and related decisions with regard to development, management and allocation of all the farm resources which within the operational unit or within the combination of such units results in maximum agricultural production. He further opined that widening of farm activities by including other enterprises such as dairying, poultry, piggery, fishery, sericulture, bee keeping and/or agro-forestry etc., with the crop husbandry is necessary because of continuously decreasing farm size in the country, particularly in case of small and marginal farmers who constitute nearly 70 per cent of the farming community. 6 7 8 9 Charreau, C. (1974) Systems of Cropping in the Dry Tropical Zone of Latest of Africa with Special Reference to Senegal, Paper presented at the International Workshop on Farming System, ICRISAT, Hyderabad, India, 18-21 Nov.,1974 Tejwani, K.G., (1974) Case Studies on Farming Systems in the Semi-arid Tropics of India, Paper presented at the International Workshop on Farming System, ICRISAT, Hyderabad, 18-21 Nov.,1974 Norman, D.W., (1978) Farming Systems and Problems of Improving Them In (Eds.) Kowal, J.M. and A.H. Kassan, Agricultural Ecology of Savanna: A Study of West Africa. Clarendon Press, Oxford, pp.318-347 Deoghare, P.R., R. Sharma and S.K. Goel (1991) Impact of Mixed Farming Systems on Income and Employment on Small Farms in Karnal District of Haryana, Agric. Situ. In India, Vol. 46(1), pp.665-670

204 Maji 10 described the farming as a stochastic, dynamic, biological and open system with human or social involvement. The farming system specifically refers to a crop combination or enterprise mix. It takes into account the consumption need of the family, the economic factors, availability of farm resources, infrastructure and institutions such as irrigation, marketing facilities including storage and transportation and credit among the various technologically feasible enterprises and the preference of the individual farmers. Nagaraja et al, 11 defined farming system as an integrated set of activities that farmers perform in their farms under their resources and circumstances to maximize the productivity and net farm income on a sustainable basis. The Integrated Farming System Approach (IFSA) is an innovative and unique approach to promote integrated land use and animal management technologies as well as resource management capabilities among farmers, particularly small and marginal farmers. Integrated farming systems are probably as old as farming itself if the broadest definition of integrated farming is accepted. According to this, integration occurs when outputs (usually by-products) of one production sub-system are used as inputs by another, within the farm unit. Theoreticians used to differentiate it from mixed farming, in which production subsystems of a farm are not mutually supportive and do not depend on each other. 12 With an effective market access around, linking mulberry sericulture with other subsidiary enterprises has always been found to be complementary. A number of enterprises can easily be combined with mulberry sericulture for effective crop diversification. There is every scope for improving the economic efficiency of resources too. Hence various components of the farming system are clubbed together to effectively simulate the conditions of enterprise diversification. 10 11 12 Maji, C.C. (1991) Farming Systems in the Post Green Revolution, Indian J. Agril. Econ., Vol. 46 (3), pp.403-411 Nagaraja, G.N., Mahesh Hunasikatti and Mamatha Girish, (2004) Sericulture-based Farming System Models for Small Farmers, Productivity, Vol 45 (2), pp307-308 Imre Csavas, (2002) Regional Review on Livestock-Fish Production Systems in Asia, Second FAO Electronic Conference on Tropical Feeds Livestock Feed Resources within Integrated Farming Systems, FAO/RAPA, Bangkok, Thailand.

205 There are quite a few diversified enterprises and crops suiting mulberry sericulture. The combination of such enterprises can be considered to be viable only if they are complementary. Dairy enterprise is one of the important activities which can suit the performance of sericulture. As it is very well known that the combination of enterprises silk and milk is very popular even now in Kolar district of Karnataka. Many studies have also revealed this fact as true from the sense of effective enterprise combination. The farmers in the district are known to be highly innovative and the routine agricultural crops are combined inter alia with allied enterprises such as vegetables, dairy, sericulture, poultry and piggery. One of the studies done by Komala 13 revealed that when dairy enterprise was combined with other enterprises on scientific lines offered greater opportunities for increasing farm income and employment, particularly to the weaker sections of the rural community. Fish farming cum sericulture is commonly practiced in China. Embankment fish culture has been practiced along with bamboo and mulberry culture in the Yangtze River delta and Pearl River delta areas of central and south China for centuries. Originally, the delta was just a waterlogged area. Farmers dug and moved soil, piling it into huge rectangular or round shapes and utilized these raised embankments for planting crops. The excavated areas became deeper, making them ideal for fish culture. Where embankments are wide enough, mulberry, bamboo, etc., were grown. The mud is scraped from the bottom of the pond and applied as fertilizer to the embankment 2-5 times annually at a rate of 750-1 125 kg/ha/year. 14 Different farming systems are prevailing in India primarily due to varied agricultural base, available resources, and location specific needs of humans, animals etc. Farmers have established these farming systems through their experience to meet their food, fuel and fibre requirement in a manner that they are least dependent on the external source. However, advancement in crop production technology and need for higher food grain production compelled the nation for adoption of crop based production system. 15 13 14 15 Komala, C. N. (2002) Risk Efficient Farming System for Sustainable Agriculture Models for Kolar District of Karnataka, An Unpublished M.Sc. thesis Submitted to the University of Agricultural Sciences, Bangalore, India, p.161. Kuanhong Min and Baotong Hu (1991) Chinese Embankment Fish Culture, International Workshop on Integrated Livestock-Fish Production Systems, Discussion Paper, Institute of Advanced Studies, University of Malaya, Kuala Lumpur, Malaysia. Shrotriya, G.C., S.V. Kaore and K.G. Wankhade (1996) Agricultural Productivity Improvement Through Farming System Approach, Fert. News, Vol. 46 (11), pp. 53-55 & 57-58

206 7.2. Economic Importance of Sericulture An attempt was made to investigate the impact of biological, chemical, mechanical technologies on income, productivity and employment in sericulture as compared to other crops. It is revealed that modern technology, which is both capitalintensive and labour-intensive, brings desirable changes in the intensity of land use, cropping and also mixture of crops, which helps in farm productivity. 16 Use of high yielding mulberry varieties, quality compost/manure, chemical fertilizers, plant protection chemicals, disinfectants in rearing, etc, are the some important technology components, which are directly related to productivity in sericulture. Depending on the level of adoptability of these technologies, the impact on productivity, level of farm employment and income are affected. In view of the importance attached to the changes in the level of productivity, income and employment, due to the changes in the level of adoptability of technologies, a comparative analysis was done. 7.2.1. Brief Reviews Associated with Production in Sericulture Several studies have been conducted on the economics and employment generation pattern of mulberry sericulture and the allied crop enterprises. A review of some of the related studies was conducted in order to understand the problem in right perspective and their salient features are discussed based on the objectives of the study in this chapter. 7.2.1.1. Costs and Returns from Sericulture Narasimhanna and Krishnaswamy 17 outlined the possibility of obtaining 1,600 kg of bivoltine cocoons from rearing 4,000 layings and by producing 30,000 kg of leaves per hectare. The cost of leaf and cocoon production and net returns were estimated at Rs. 6,000.00 Rs.10,000.00 and Rs. 26,800.00 respectively per hectare by using improved techniques. Nataraj and Thomas 18 conducted a study on economics of bivoltine sericulture in Karnataka and indicated that the average yield of all the bivoltine breeds for 100 16 17 18 Singh, Diwa Kumari (1993) Technological Change and Agricultural Development, Deep & Deep Publications, F-159, Rajouri Garden, New Delhi 110027 Narasimhanna, M.N. and S. Krishnaswamy (1973) Improved Techniques of Silkworm Rearing, C.S.R& T.!., Mysore, India. Nataraja, N. and M. Thomas (1976) Economics of Bivoltine Sericulture in Karnataka, Indian Silk, Vol.15 (9), pp. 7-12.

207 Disease Free Layings (DFLs) worked out to 31 kg and the gross income aggregated to Rs. 990.00. The yield for multivoltine hybrid was estimated at 27 kg/100 dfls and the gross income at Rs. 400.00 to Rs. 500.00. It was estimated that the cost of mulberry cultivation accounted for nearly 45 per cent of the total expenditure and the balance constituted the rearing expenditure. Labour was found to account for 70 Per cent of the rearing expenditure. The net income per acre was estimated to Rs. 6,000.00 per annum. Murthy 19 in a study on economics of silk cocoon production in irrigated mulberry garden in Devanahalli taluk of Bangalore district observed that the average leaf per hectare was 25.38 Tonnes. Labour employed was 374.52 man days. The total cost of establishment was Rs. 1,676.55 per hectare. The net return from mulberry cultivation was Rs.7,430.61 and was maximum in the medium size group and minimum in the small size group. The yield of cocoon from a hectare of mulberry crop was 1,128.12 kg. The total cost of cocoon production was Rs.14,082.70 per hectare and operational cost accounted for 93 Per cent and the remaining was fixed cost. The net return from cocoon production was estimated to Rs. 8,202.70 per hectare and return to family labour and management amounted to Rs.10,583.85. The cost and returns from cocoon production did not show any definite trend with the size of group. The total labour force employed was 1,016 man days per hectare, of which 63.54 Per cent was family labour. The distribution of labour was uniform through out the year. Lakshminarayan Rao 20 estimated the establishment and cultivation costs of an hectare of mulberry leaf production to Rs.l,394.80 and Rs.7,541.50 respectively, in Anantapur district of Andhra Pradesh. The cost of production per kg of leaf was Rs. 0.27, while it was Rs.15.00 per kg of silk cocoon. Murtuza Khan 21 studied the economics of sericulture in Anekal taluk of Bangalore Rural district and indicated that the gross return per rupee from commercial production was Rs.l.24. 19 20 21 Murthy, S.R.S. (1977) Economics of Silk Cocoon Production with Irrigated Mulberry in Devanahalli ta1uk, Bangalore district, An Unpublished M.Sc. Thesis Submitted at the University of Agricultural Sciences, Bangalore, India. Lakshrninarayana Rao, K. (1980) Economics of Sericulture in Ananthapur District, Andhra Pradesh, An Unpublished M.Sc. Thesis Submitted at the University of Agricultural Sciences, Bangalore, India. Khan Murtuza (1985) An Economic Analysis of Bivoltine Seed Cocoon Production in Anekal Taluk, Bangalore District, An Unpublished M.Sc. Thesis Submitted at the University of Agricultural Sciences, Bangalore, India.

208 Marihonniah 22 studied the income and employment generation in sericulture in Kunigal taluk of Karnataka state. The results showed that the total cost of cocoon production was Rs.13,548.95 for large, Rs.12,980.96 for marginal and Rs.12,449.62 for small farmers per hectare per year, with the over all average of Rs. 12,983.16. The average operational cost was Rs.1l,711.08 per hectare per year, which accounted for 90.20 Per cent of the total cost. It was also reported that the cost of labour was 43.70 Per cent of operational cost, while the cost of mulberry leaves was 39.20 Per cent. The average gross income from cocoon production was Rs.18,906 per hectare per year and the average net income was Rs. 923.00. Sharma and Thakur 23 in a study of economics of sericulture industry in Himachal Pradesh indicated that the total cost of rearing one ounce silk seed material was Rs. 352.00 and net returns was estimated at Rs. 596.00. Raghavendra et al., 24 in their study of economics of bivoltine silk production estimated that the cultivation cost per acre per year for producing cross breed cocoons under irrigated conditions accounted for Rs. 4,312.05 in less than 0.50 acre, Rs. 3,037.39 in 0.50-1.00 acre and Rs. 2,514.27 in more than 1.00 acre farms. The labour cost per acre per year for these farm categories was Rs. 18,986.27, Rs.13,175.07 and Rs.ll,056.45, respectively. Basavaraj 25 in his study on income and employment generation in dry land sericulture observed that the average cost of establishing one acre of mulberry garden for large farmers was Rs.3,125.00. Lakshmanan et al., 26 studied the economic issues of production of mulberry cocoon in Tamil Nadu. It was estimated that the cost and benefit ratio for one hectare of mulberry garden was high in Dharmapuri (1: 1.41) as compared to Salem (1: 1.30). 22 23 24 25 26 Marihonnaiah, V. (1987) Income and Employment Generation in Sericulture and Ragi Mixed Crop Enterprise Under Dryland in Kunigal Taluk, Tumkur District, An Unpublished M.Sc. Thesis Submitted at the University of Agricultural Sciences, Bangalore, India. Sharma, H.R. and D.R. Thakur, (1988) Comparative Economics of Commercial Crops of Himachal Pradesh, Agricultural Situation in India,Vol. XLIII (7), pp.579-585. Raghavendra, B.G., S. Venugopal, M.J. Govardhan Singh and S. Jyothi Naik (1992) A Study of the Economics of Bivoltine Silk Production, Interim report, Department of Management Studies, Indian Institute of Management, Bangalore (unpublished). Basavaraj, S.S. (1993) Income and Employment Generation in Dry Land Sericulture - Hassan District (transitional tract), Karnataka, An Unpublished Dissertation Submitted at Central Sericultural Research and Training Institute, Mysore, India. Lakshmanan, S., B. Mallikmjuna, H. Jayaram, R. Ganapathy Rao, M.R. Subramaniam, R.G. Geetha Devi and R.K. Datta (1996) Economic Issues of Production of Mulberry Cocoons in Tamil Nadu, Indian Journal of Sericulture, Vol. 35(2), pp. 128-131.

209 Srinivasa et al., 27 made an attempt to study the economic viability of sericulture enterprise in Kolar district of Karnataka. The results indicated that the establishment cost of mulberry gardens was Rs.6,480.00 per hectare and that of rearing assets was Rs.29,557.50. The net present value at the discount rate of 12.00 per cent was found to be Rs.70,940.08. The internal rate of return was 35.02 per cent and the benefit-cost ratio was worked out to be 2.82 at the discount rate of 12.00 per cent. Lakshmanan et al., 28 studied the economics of sericulture in four southern states namely, Karnataka, Andhra Pradesh, Tamil Nadu and Kerala with a sample of 750 house holds during 1993-94 and 1995-96. The estimated total cost of mulberry leaf production in Karnataka indicated that farmers had incurred an average of Rs.9,580.40 and Rs.l1,003045 during 1993-94 and '1995-96 under irrigated farms as against Rs.4,704.15and Rs.5,304.35 under rainfed farms during the above period. In Andhra Pradesh, it was worked to be Rs.9,672.00 and Rs.10,574.93 while in Tamil Nadu and Kerala, it was Rs.10,336.40 and Rs.9,854.95, Rs.9,517.55 and Rs. 6,144.20, respectively. The cost difference between years and states was due to increasing resource price and irrational use of factors of production in the farms. Lakshmanan et al., 29 compared the economic benefits in rearing of bivoltine with that of crossbreeds at farmers level in K.R.Nagar taluk of Mysore district in Karnataka and inferred that rearing of bivoltine earned higher net return than crossbreed races owing to the prevailing suitable climate, skilled man power and technical guidance received from developmental agencies. Venkateswara Rao et al., 30 analyzed the economic viability of cocoon production in a new area (Elur, a coastal area of Andhra Pradesh) with that of 27 28 29 30 Srinivasa, G., P. Kumaresan and M.N.S. Iyengar (1996) Economics of Mulberry Cultivation and Silkworm Rearing, Sericologia, Vol. 36(3), pp. 451-456. Lakshmanan, S., H. Jayaram, R. Ganapathy Rao, B. Mallikarjuna and R.G. Geetha Devi (1997) Economics of Sericulture: An Update, Indian Silk, Vol.36(1), pp. 21-23. Lakshmanan, S., R.G. Geetha Devi and N. Suma (2000) Studies on Economics of Bivoltine Versus Crossbreed Cocoon Production in K.R Nagar Taluk of Mysore District, Indian Journal of Sericulture, Vol. 39(2), pp. 149-151. Rao Venkateswara, M., P. Kumaresan and N.B. Vijaya Prakash (2001) Comparative Economics of Cocoon Production in Coastal Area and Traditional Area of Andhra Pradesh, Indian Journal of Sericulture, Vol. 40(2), pp. 147-150.

210 traditional area (Chittoor district of Andhra Pradesh). The cost of cocoon production was worked out to be Rs. 24,106.31 and Rs. 26,810.03 in Chittoor and Elur areas, respectively. The average yield obtained by the Chittoor farmers was higher (42.99 kg/100 dfls) than that of Elur farmers (38.50 kg/l00 dfls): The Elur farmers realized the less average price for cocoon (Rs: 98.75/kg) compared to Chittoor farmers (Rs. 106.50/kg) due to non-availability of marketing facilities in that area which in turn caused deterioration of cocoon quality due to long distance transportation for marketing. The net revenue earned by Chittoor farmers was higher (Rs. 16,966.51) than that of Elur farmers (Rs. 5,863.55). The cost benefit ratio was estimated to be Rs. 1:1.70 and 1:1.22, respectively for Chittoor and Elur areas. Srinivasa et al., 31 studied the cropping pattern and income level of both cross breed and bivoltine (CSR hybrid) silkworm rearers in Mandya district, Karnataka using linear programming technique. The model suggested 28.17 Per cent of total land holdings for mulberry for cross breed rearers. Mulberry was not suggested for rainfed area for both bivoltine and multivoltine rearers. With the suggested cropping pattern, the model offered an income of Rs.1.95 lakhs, Rs.1.53 lakhs and Rs.1. 74 lakhs, respectively for CSR hybrid, cross breed and pooled categories, which was found to be 25.90, 17.00 and 5.47 per cent higher than the existing cropping pattern. The total cost of production of cocoon was Rs. 32,786.75, Rs.37, 427.46 and Rs.34,638.31 for bivoltine (CSR hybrid) rearers, multivoltine rearers and the pooled rearers respectively. The net returns for the said categories were found to be Rs.15,756.86, Rs.20,051.16 and Rs.18,235.24, respectively. The net returns were low in the case of bivoltine rearers compared to the multivoltine rearers as the bivoltine race (CSR) was reared only from September to February, in which only three crops could be harvested as compared to 5 crops of multivoltine. Kumaresan and Vijaya Prakash 32 compared the economics of sericulture with that of the major crops cultivated in Gobichettipalayam taluk of Erode district in Tamil Nadu. The revenue obtained from sericulture (Rs.21, 153.51/acre/year) was comparatively higher than that of all other major crops cultivated in the area namely, paddy, sugarcane, gingelly, groundnut and sorghum except turmeric. 31 32 Srinivasa, G., R.N. Sarangi, G.S. Geetha, R.G. Geetha Devi and N.B. Vijaya Prakash (2001) Study of Cropping Pattern and Income Level of both Crossbreed and Bivoltine (CSR hybrid) Silkworm Rearers in Mandya district, Karnataka, Indian Journal of Sericulture, Vol.40(2), pp. 119-126. Kumaresan, P. and N.B. Vijaya Prakash (2001) Economics of Sericulture Vis-a-Vis Competing Crops in Erode District of Tamil Nadu, Indian Journal of Sericulture,Vol. 40(2), pp.142-146.

211 Sabitha et al., 33 studied the comparative performance of different crops with mulberry. The study indicated that vegetable along with mulberry yielded maximum net income of Rs.2,83,500/acre/annum followed by mulberry with live stock (Rs.1,79,175 / acre / annum) and minimum net returns of Rs.56,015 / acre / annum was obtained when mulberry was grown with agro-forestry. Hiriyanna et al., 34 conducted a study to evaluate the economics of CSR hybrids vis-à-vis the popular multi x bi-hybrid (PM x NB 4 D 2 ). The expenditure incurred for rearing CSR hybrids was higher than that of multi x bi-hybrid rearing due to usage of more inputs. The cost-benefit ratio was higher with 1:1.92 for CSR hybrid compared to 1:1.35 for multi x bi-hybrid. Kumaresan et al., 35 studied the economics of bivoltine (CSR hybrid) cocoon production under PPPBST project in Karnataka. They estimated the total revenue to Rs.14,030.77 for CSR hybrid and Rs.8,016.31 for cross breed per 100 dfls. The net revenue was estimated to Rs.3,545.66 and Rs.l,099.27 for CSR hybrids and cross breeds, respectively. The cost-benefit ratio was higher with 1:1.34 for CSR hybrids compared to 1:1.16 for cross breed. Dandin and Kumaresan 36 estimated the cost of cocoon production as Rs. 73,5l6.80/acre/year and the net returns as Rs.39,883.20/acre/year. They opined from the sensitivity analysis that the silk cocoon prices significantly affected the profitability in cocoon production. In a study on the economic appraisal of silk cocoon production in the three Southern States viz., Karnataka, Andhra Pradesh and Tamil Nadu, 33 34 35 36 Sabitha, M.G., P. Saraswathi, Ashis Ghosh, S.B. Magadum and A.K. Sikdar (2002) Income Generation in Different Multiple Farming Systems, Advances in Indian Sericulture Research, Central Sericultural Research and Training Institute, Mysore, India., pp. 497-499. Hiriyanna, T.P. Swamy, P. Kumaresan and N.B. Vijaya Prakash (2002) Comparative Economics of Bivoltine Hybrids with multi x bi Hybrid Cocoon Production, Indian Journal of Sericulture, Vol. 41(1), pp. 38-41. Kumaresan, P., K. Bhogesha, H. Tsuchiya, N.B. Vijaya Prakash and K. Kawakami (2002) An Economic Analysis of CSR Hybrid Cocoon Production under PPPBST Project in Karnataka, Advances in Indian Sericulture Research, Central Sericultural Research and Training Institute, Mysore, India. pp.500-504. Dandin, S.B. and P. Kumaresan (2003) An empirical Analysis of Cost of Cocoon Production, Indian Silk, Vol. 42(2), pp. 5-10.

212 Lakshmanan et al., 37 revealed that both the gross returns and net returns were quite high under the assured irrigated condition than the semi irrigated conditions. The profitability from sericulture was to the tune of Rs. 123059 per acre per year in case of Karnataka state, followed by Rs. 120703 per acre per year in case of Tamil Nadu and Rs. 74,607 per acre per year in case of Andhra Pradesh. The highest net return obtained in Karnataka was attributed mainly to the highest average yield of silk cocoon and price. 7.2.1.2. Employment Generation in Sericulture Singh et al 38 studied the pattern of employment of landless labourers under Integrated Rural Development Agency in Sultanpur district of Uttar Pradesh. The study revealed that the total family labour employed days were 128.75 per farm, out of which 60.94 and 67.81 days were utilized in agricultural and non-agricultural sectors, respectively on beneficiary farms. In case of non-beneficiary farms, the total family labour employed days were 133.08 per farm, out of which 82.62 and 50.46 days were utilized in both the sectors, respectively. Inder Sain and Joshi 39 studied human labour employment in the Punjab agriculture. They estimated that family labour employed was 51 Per cent against the hired-in labour with 49 Per cent. The study also exhibited an inverse relationship between the labour use and farm size. Ganapathi Rao et al., 40 found an inverse relationship of employment generation with the size of sericultural holdings and a direct relationship between hired labour use and size of land holdings. Tiwari and Singh 41 in their study on employment pattern in agricultural crops 37 38 39 40 41 Lakshmanan, S., H.M. Munikrishnappa, B. Mallikarjuna and R.G. Geethadevi (2008) An Economic Appraisal of Silk Cocoon Production in South India, Ind. J. of Seric., Vol. 47 (1): pp. 40-44 Singh, R. P., J.P. Singh and R.P. Singh (1992) A Study of Socio-economic Analysis and Pattern of Employment of Landless Labourers under IRDP in Sultanpur District of Uttar Pradesh, Agricultural Situation in India, Vol. XLVI (8), pp. 603 606. Inder Sain and A.S. Joshi (1994) An Empirical Study of Human Labour Employment in the Punjab Agriculture, Agricultural Situation in India, Vol. XL VIII (II), pp. 785-788. Ratnala Ganapathi Rao, B. Mallikarjuna and R.K. Datta (1995) Human Labour Employment in Sericulture - An Empirical Study in Andhra Pradesh, Indian Journal of Sericulture, Vol. 34(2), pp.90-92. Tiwari, C.B. and P. Singh (1995) Employment Generation in Agriculture: Crops V/S Livestock, Agricultural Situation in India, Vol. LII (5), pp. 287-290.

213 and livestock, indicated that the distribution of land was quite skewed as the large farmers who comprised 14Per cent of the total households accounted for 51Per cent of the land while the marginal and small farmers who comprised 64Per cent of the households shared only 26Per cent of their land. In view of skewed distribution of land, landless, marginal and small farmers were dependent on livestock for income and employment. On an average, the medium and large households maintained more milch animals and less work animals per household. Crop production and animal husbandry generated employment in the ratio of 2:1 on per worker basis and the ratio declined with an increase in the size while crop production generated 372 man days per household. Man days generated per livestock showed almost a negative relationship with the increase in the size of holding. Thus the results suggested that further diversification into livestock keeping would provide continuity and stability in rural employment. Pramanik et al., 42 studied the generation of agricultural employment potential in the adopted village as a result of transfer of modern high yielding technologies. As a result of the area under high yielding varieties of rice increased by 8 per cent, an additional employment was generated at the same pace through more engagement of farmers in cultivation of this crop. It was observed that 10 per cent and 13.33 per cent of additional man days was generated in 1992 and 1993, respectively over 1991. Lakshmanan et al., 43 conducted a study on labour composition in sericulture in Salem and Dharmapuri districts of Tamil Nadu with a sample of 100 respondents. The data were post-stratified into four groups based on the operational area under mulberry. Group I having the mulberry holding of 0.01-0.50 acre utilized 73.74 man days, group II (0.51-1.00 acre) utilized 67.47 man days, group III (1.011.50 acre) utilized 64.23 man days and group IV (more than 1.51 acre) utilized 57.28 man days. In case of hired labour (male & female) engagement it was found that the hired labour use was 29 Per cent in size I and 57.75 Per cent in size IV. The family labour share showed an inverse relationship with the size of farm groups. Further, the over all farm 42 43 Pramanik, S.C., G.S. Saba and A.K. Bandyopadhyay (1996) Impact of Transfer of Technology on Crop-area Expansion and Employment Generation in the Bay Islands - A Case Study of a Settler Village, Agricultural Situation in India, Vol. UII (8), pp. 575-580. Lakshmanan, S., R. Ganapathy Rao, H. Jayaram and R.G. Geetha Devi (1997) Labour Composition in Sericulture in Tamil Nadu, Indian Silk, Vol. 35(12), pp. 19-21.

214 group situations showed that the percentage of female labour participation (55.91 per cent) was more than male labour (44.09 per cent). Women contributed a higher proportion of total labour on all farm size groups. Their participation in mulberry and silkworm rearing was 58.46 per cent and 54.13 per cent, respectively. The reason for higher female labour employment was due to the unskilled and women friendly activities in mulberry leaf production and silkworm rearing. Jayaram et al., 44 conducted a comparative study on labour employment under different mulberry farm holdings. The data were collected from 400 randomly selected farmers from Karnataka state. The estimated number of labour engaged in sericulture per acre per year under irrigated and rainfed conditions were 357 and 170 man days, respectively. The small mulberry holdings (up to 0.50 acre) accounted for an employment of 624 and 278 man days per acre annually under irrigated and rainfed conditions, respectively. The mulberry farm of size category of 0.51 to 1.00 acre had an employment potential of 498 and 230 man days, respectively per acre annually under irrigated and rainfed conditions. The labour employed under the second category of farms (1.00 to 1.50 acre) was annually 395 and 196 man days per acre, respectively under irrigated and rainfed conditions. Similarly, the last category (above 1.50 acre) of farms generated an employment to the tune of 261 and 129 man days per acre per year, respectively under irrigated and rainfed conditions. The results revealed that the small-scale farms were good sources of income generation, as they tended to practice intensive type of cultivation. Therefore, the average yield of cocoon under irrigated conditions was as high as 401.40 kg per acre per year under small holdings category of mulberry compared to 279.40 kg per acre per year under large mulberry holding category. The yield level per acre per year under rainfed conditions was also found to be high in the case of (171.65 kg) small holdings compared to that of large holdings (90.42 kg). Kumaresan et al 45 evaluated the comparative economics and labour use pattern of shoot and shelf methods of silkworm rearing. The data were collected by using 44 45 Jayaram, H., B. Mallikarjuna, S. Lakshmanan, R. Ganapathy Rao and R.G. Geetha Devi (1998) Labour Employment Under Different Mulberry Farm Holdings - A Comparative Study, Indian Journal of Sericulture, Vol. 37(1), pp. 52-56. Kumaresan, P., N.B. Vijaya Prakash and R.K. Rajan (1999) An Economic Evaluation of Different Methods of Silkworm Rearing, Productivity, Vol. 40(1), pp. 139-142.

215 random sampling method from 30 farmers practicing shelf method of silkworm rearing in Salem taluk of Salem district and 30 farmers adopted shoot rearing method in Gobichettipalayam taluk of Erode district in Tamil Nadu. The results indicated that 5.72 man days of male labour and 11.23 man days of female labour could be saved for rearing 100 dfls in shoot rearing over shelf rearing method. The revenue generation in cocoon production was also found to be more in shoot rearing method of silkworm rearing. Pushpa and Netaji 46 conducted a study on income and employment pattern of farmers in various integrated fanning systems in 10 villages of Rasipuram and Namakkal taluks of Salem district. The results indicated that the additional employment generated by poultry was 160 man days, whereas, it was 170 man days in dairy. But the maximum additional employment generated by a single enterprise was from sericulture with 515 man days. The sericulture included integrated farming systems, were able to generate high level of employment opportunities. Lakshmanan et al., 47 investigated the employment pattern and labour productivity in sericultural operations and inferred that the labour employment was more in smaller mulberry holdings, while the labour productivity was more in larger mulberry holdings. They also found more female participation in sericulture operations when compared to male labour. Saraswathi and Sumangala 48 studied on participation of farm women in sericulture enterprise in Dharwad district. The participation level in sericulture was categorized into high, medium and low based on mean data. Further, to study the relationship between dependent (participation) variable with independent (income, land holdings and sericulture land holdings) variables, Karl-Pearson's product moment correlation co-efficient was worked out. The study indicated that the participation of farm women in outdoor activity (mulberry cultivation) was to the extent of 72.80 per 46 47 48 Pushpa, J. and R. Netaji Seetharaman (1999) Impact on Income and Employment of Farmers in Various Integrated Farming Systems, Journal of Extension Education,Vol.10(4), pp. 2628-2630. Lakshmanan, S., B. Mallikmjuna, R. Ganapathy Rao, H. Jayaram and R.G. Geetha Devi (1999) An Empirical Investigation on Labour Productivity in Mulberry Sericulture, Indian Journal of Sericulture, Vol. 38(1), pp. 48-52. Saraswathi, J.M. and P.R. Sumangala (2001) Participation of Farm Women in Sericulture Enterprise, Indian Journal of Sericulture,Vol. 40(1), pp.86-91.

216 cent while in indoor activity (silkworm rearing), it was 84.40 per cent. In harvesting and grading, inter-cultivation, pruning and management of worms during different instars, the farm women participation as a worker was also good and the observed participation was 82.89 per cent, 64.76 per cent, 46.74 per cent and 44.39 per cent, respectively. Participation was very low in packing and marketing of cocoons, procurement of disease free layings (dfls) and incubation. Meenal and Rajan 49 revealed the preference of sericulture enterprise in the rural Tamil Nadu for its short gestation period and low investment. The sericulture enterprise was found to provide significant opportunity for employment in the farm. The total employment generated per acre per year among the adopters of technologies in sericulture was to the extent of 565 man days compared to 467 man days in case of non-adopters of technology. The share of family labour to the total labour employed was equivalent to 39.12 per cent and 44.95 per cent respectively, under the adopter and non-adopter categories of farmers. 7.2.2. Measurement of Variables Used in the Study The respondent farmers were drawn at random form the four selected districts of Karnataka state viz., Mandya, Bangalore (Rural), Kolar and Hassan. A multistage random sampling procedure was adopted to select 240 farmers followed by an interview with a designed questionnaire (discussed in Chapter Two). Data on important technological inputs, the impact on productivity, income and employment were elicited. For the purpose of judging the level of change in the productivity, income and employment, the data were post-classified in three different ways namely i) classification based on different categories of farmers (based on mulberry farm holding), ii) classification based on type of silkworm rearer i.e., bivoltine (CSR hybrid) silkworm rearer and cross breed silkworm rearer and iii) classification based on the sample districts i. e., Mandya, Bangalore (rural), Kolar, and Hassan. The data were subjected for evaluation based on the above classification. The respondents in the present study were assessed in terms of variables such as age, education, size of land holding, cropping pattern, livestock possession, 49 Meenal, R. and R.K. Rajan (2008) Technology Adoption and Employment Generation An Analysis in Tamil Nadu, Ind. J. Seric., Vol. 47 (1), pp.108-110

217 extension contact, mass media participation, extension participation, cosmopoliteness. The study also was further elaborated with the analysis of cost of production of mulberry sericulture as compared to other major crop enterprises specific to corresponding districts of the respondents. An attempt was also made to evaluate the level of adoption of technologies in sericulture and thereby constraints faced by the sericulturists in the adoption of technologies evolved in sericulture. 7.2.2.1. Age Age of each of the respondents covered in the study was measured as the number of calendar years completed by the respondent at the time of the interview. A frequency table to this effect was constructed. 7.2.2.2. Education This is operationally defined as the number of years of formal education acquired by a respondent. Education was measured by assigning the following scores; Category Score Illiterate 0 Primary school 1 Middle school 2 Secondary education 3 College onwards 4 7.2.2.3. Size of Land Holding and Area under Mulberry Data pertaining to the total acreage of the holdings in terms of dry land, wet land and garden land possessed by the respondents were recorded. Further the rearers were classified based on the mulberry land holdings under mulberry, as small, medium and large rearers by adopting the following procedure. Type of rearer Small Medium Large Mulberry acreage < Mean 1 Standard Deviation >Mean - 1 Standard Deviation and < Mean + 1 Standard Deviation > Mean + 1 Standard Deviation

218 The classification was made separately for both categories viz., bivoltine (CSR hybrid) silkworm rearers and cross breed silkworm rearers. 7.2.2.4. Dependents in the Family and Total Work Force in the Family The number of dependents in the family was recorded and out of this the number of persons working on the farm as family labour was recorded and the respondents were classified accordingly. Size of family labour Small Medium Large Criteria < Mean 1 Standard Deviation >Mean - 1 Standard Deviation and < Mean + 1 Standard Deviation > Mean + 1 Standard Deviation 7.2.2.5. Cropping Pattern The crops grown on each of the respondent s farm was recorded and accordingly the cropping pattern of the sample respondents were worked out. The share of acreage under various crops viz., seasonal crops, annuals and perennials were recorded and is presented in acres. 7.2.2.6. Livestock Possession The livestock possession was measured by following the scoring procedure as detailed below; Possession of one bullock 1 Possession of one local cow or one local buffalo 1 Possession of one cross breed cow or one cross breed buffalo 2 Possession of three sheep or three goats 1 Possession of ten chickens 1 The total score obtained with respect to each of the respondent was worked out and were divided into different categories based on the mean and Standard Deviation (S.D.); Livestock possession Small Medium Large Criteria < Mean 1 Standard Deviation >Mean - 1 Standard Deviation and < Mean + 1 Standard Deviation > Mean + 1 Standard Deviation

219 7.2.2.7. Extension Contact The information from the respondents about their contact with extension worker/personnel was obtained. The frequency of meeting various extension personnel in the order of Deputy Director of Sericulture, Assistant Director of Sericulture, Sericulture Extension Officer, Sericulture Inspector, Demonstrators and so on was recorded giving appropriate score. Extension personnel Score Deputy Director of Sericulture/ Assistant Director of Sericulture 3 Sericulture Extension Officer 2 Sericulture Inspector/ Demonstrators 1 None 0 The average extension contact scores of the respondents were computed and grouped into following categories; Extension contact Low Medium High Criteria < Mean 1 Standard Deviation >Mean - 1 Standard Deviation and < Mean + 1 Standard Deviation > Mean + 1 Standard Deviation 7.2.2.8. Extension Programme Participation A list of eight to nine extension activities viz., group discussions, field days, seminars Demonstrations, film shows, seminars, exhibitions, farm visits etc., which are normally conducted under an average village situation was prepared and the respondents were asked to indicate their participation under each of these activities. Based on the scores were obtained, the respondents were grouped into three categories using the Mean and Standard Deviation (S.D.) values. Extension participation Low Medium High Criteria < Mean 1 Standard Deviation >Mean - 1 Standard Deviation and < Mean + 1 Standard Deviation > Mean + 1 Standard Deviation

220 7.2.2.9. Mass Media Participation The mass media participation of the farmers was measured by following the scoring procedure as detailed below; (i) Media Subscriber Not a subscriber Newspaper 1 0 Farm magazine 1 0 (ii) Use of the media See/ listen Do not see / listen Rural radio programme 1 0 Television programmes on agriculture 1 0 (iii) Frequency of use Regular/daily Occasional Never Newspaper 2 1 0 Farm Magazine 2 1 0 Radio 2 1 0 Television 2 1 0 The average mass media participation scores under each category of farmers was computed and expressed in mean scores. Further the respondents were grouped into three categories of mass media participation using mean (X) and Standard Deviation (S.D.) as detailed below; Mass media participation Low Medium High Criteria < Mean 1 Standard Deviation >Mean - 1 Standard Deviation and < Mean + 1 Standard Deviation > Mean + 1 Standard Deviation 7.2.2.10. Cosmopoliteness The major consideration under this parameter was how the farmer was associated with the institutions catering to the needs of village community. The participation of respondents in theses institutions viz., Farmers' Service Cooperative Society, Milk Producers' Cooperative Society, Sericulture Quality Clubs, Self Help Groups, Youth Clubs etc., was scored. The average cosmopoliteness scores under each category of the farmers was computed and expressed in mean scores. The respondents were then grouped into three categories of cosmopoliteness using mean (X) and Standard Deviation (S.D.) as detailed below;